Amy wants to take the next six years off work to travel around the world. She estimates her annual cash needs at $$27,000($if she needs more, she will work odd jobs$).$ Amy believes she can invest her savings at $8\%$ until she depletes her funds.

$($Click the icon to view Present Value of $$1$ table.$)$

$($Click the icon to view Present Value of Ordinary Annuity of $$1$ table.$)$

$($Click the icon to view Future Value of $$1$ table.$)$

$($Click the icon to view Future Value of Ordinary Annuity of $$1$ table.$)$

Read the requirements.

Requirement $1.$ How much money does Amy need now to fund her travels? $($Round your answer to the nearest whole dollar.$)$

With the $8\%$ interest rate, Amy needs

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Present Value of $$1$

$\backslash$table$[[$Periods$,1\%,2\%,3\%,4\%,5\%,6\%,7\%,8\%,9\%,10\%,12\%,14\%,15\%,16\%,18\%$

Amy wants to take the next six years off work to travel around the world. She estimates her annual cash needs at $$27,000($if she needs more, she will work odd jobs$).$ Amy believes she can invest her savings at $8\%$ until she depletes her funds.

$($Click the icon to view Present Value of $$1$ table.$)$

$($Click the icon to view Present Value of Ordinary Annuity of $$1$ table.$)$

$($Click the icon to view Future Value of $$1$ table.$)$

$($Click the icon to view Future Value of Ordinary Annuity of $$1$ table.$)$

Read the requirements.

Requirement $1.$ How much money does Amy need now to fund her travels? $($Round your answer to the nearest whole dollar.$)$

With the $8\%$ interest rate, Amy needs

$$124,821$

Requirement $2.$ After speaking with a number of banks, Amy learns she will only be able to invest her funds at $4\%.$ How much does she need now to fund her travels?

$($Round your answer to the nearest whole dollar.$)$

Wial $4\%$ interest rate, Amy would need

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$\backslash$table$[[$Present Value of $$1,,,,,],[$Periods$,1\%,2\%,3\%,4\%,5\%,6\%,7\%,8\%,9\%,10\%,12\%,14\%,15\%,16\%$